Dell makes deal with big Chinese retail chain

Posted on Tuesday, Sep 25 2007 @ 04:20 CEST by Thomas De Maesschalck
Dell announced a deal with the biggest Chinese electronics store chain Gome to start selling Dell PCs in 50 Gome Group stores:
Sales will start in 50 Gome Group stores next month and expand to more stores early next year, said Michael Tatelman, vice president of marketing and sales for Dell's global consumer business.

"Our market share in China is obviously well below our global average. So we hope to be successful here and get our rightful share of the business," Tatelman said. "We think this partnership gives us a platform to certainly expand our business here."

Tatelman declined to give any sales projections.

Dell, based in Round Rock, Texas, used to lead global PC sales with its lower-cost direct sales model. But since being overtaken by HP last year, Dell has started to turn to retail sales, including recent deals with Wal-Mart Stores Inc. in the United States, Bic Camera Inc. in Japan and Carphone Warehouse PLC in Britain.

Dell says it has about 18 percent of China's PC market by revenue and 10 percent by number of units sold. Worldwide, its market share is 16.1 percent, according to consulting firm Gartner Group.
Source: PCWorld.

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Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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